(1) This section applies if:
(a) you made a capital gain for an income year from a CGT event that happened before the commencement of this section; and
(b) you included the capital gain in working out your net capital gain for that year; and
(c) at the commencement of this section, you have not acquired a replacement asset but the replacement asset period had not expired; and
(d) assuming that you had acquired a replacement asset before the CGT event, you would have been entitled to choose a roll-over under Subdivision 152-E of that Act.
(2) The capital gain is disregarded for the purposes of the Income Tax Assessment Act 1997 .
(3) If you acquired a replacement asset within the replacement asset period but the total of the first and second elements of the cost base of that asset is less than the amount of the capital gain that would, apart from this subsection, be disregarded, the amount to be disregarded is that total.
(4) However, if you do not acquire a replacement asset within the replacement asset period, that Act applies to you as if you had never chosen the roll-over, and the capital gain is not disregarded.
(5) The Commissioner may extend the replacement asset period.